Page 104 - TPM A Route to World-Class Performance
P. 104
The TPM improaement plan 85
Data for fouiv-week period
Over a recent four-week period the following OEE results were obtained:
Week OEE = Availability x Pevformance x Quality
("/.I ("/I rate (Yo) rate (YO)
9 44.6 = 65.0 X 70.0 X 98.0
2 43.8 = 58.0 X 77.0 X 98.0
3 36.7 = 47.0 X 80.0 X 97.5
4 31.9 = 44.7 X 72.5 X 98.5
Average 39.4 = 53.7 X 74.9 X 98.0
Best of best OEE and potential benefit
The best of best OEE can now be calculated. In addition, if the hourly rate of
added value is taken to be €100, the annual benefit (45-week year) of moving
from the current average OEE of 39.4 per cent to the best of best can be found.
Best of best OEE = availability x performance x quality
= 65.0 x 80.0 x 98.5 = 51.2%
Potential loading hours per year = 114 x 45 = 5130
At 39.4% OEE, value added per year = 0.394 x 5130 x €100 = €202 122
At 51.2% OEE, value added per year = 0.512 x 5130 x €100 = €262 656
Therefore, a benefit of €60 534 is possible by consistently achieving best of
best through tackling the six losses using the nine-step TPM improvement plan.
Step 3 Assessment of the six big losses
The importance of understanding and tackling the six big losses cannot be
over-emphasized! They were listed in Chapter 3 and illustrated by the iceberg
analogy in Figure 3.14, repeated here as Figure 5.5. The six losses are as follows:
0 Breakdowns
e Set-up and adjustment
0 Idling and minor stoppages
0 Running at reduced speed
0 Quality defect and rework
0 Start-up losses
These are elaborated in Figures 5.7-5.12 in terms of the relationship of these
losses to the OEE.
Figure 5.6 shows the losses as a fishbone cause and effect diagram. This
formula is used by the TPM core team as a brainstorming tool to list all
possible causes and reasons for each of the six loss categories.
We will develop a detailed definition in later chapters regarding the four
levels of control referred to under each of the six losses in Figures 5.7-5.12.
However, in order to give an early indication a definition is as follows: